Research Analysts Set Expectations for Zscaler Q1 Earnings

Zscaler, Inc. (NASDAQ:ZS) – B. Riley dropped their Q1 2026 earnings per share (EPS) estimates for Zscaler in a research report issued to clients and investors on Wednesday, September 3rd. B. Riley analyst E. Suppiger now expects that the company will earn ($0.06) per share for the quarter, down from their previous forecast of $0.04. B. Riley has a “Neutral” rating and a $275.00 price target on the stock. The consensus estimate for Zscaler’s current full-year earnings is ($0.10) per share. B. Riley also issued estimates for Zscaler’s Q2 2026 earnings at ($0.02) EPS, Q3 2026 earnings at $0.01 EPS, Q4 2026 earnings at $0.05 EPS, FY2026 earnings at ($0.01) EPS, Q1 2027 earnings at $0.02 EPS, Q2 2027 earnings at $0.01 EPS, Q3 2027 earnings at $0.06 EPS, Q4 2027 earnings at $0.14 EPS and FY2027 earnings at $0.22 EPS.

Zscaler (NASDAQ:ZS) last issued its earnings results on Tuesday, September 2nd. The company reported $0.89 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.80 by $0.09. Zscaler had a negative net margin of 1.55% and a negative return on equity of 0.49%. The business had revenue of $719.23 million during the quarter, compared to analysts’ expectations of $707.15 million. During the same period in the previous year, the company earned $0.88 earnings per share. The business’s revenue for the quarter was up 21.3% compared to the same quarter last year. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS.

Several other research analysts also recently weighed in on ZS. JPMorgan Chase & Co. increased their price target on shares of Zscaler from $348.00 to $351.00 and gave the stock an “overweight” rating in a research report on Wednesday, September 3rd. KeyCorp upped their price target on Zscaler from $345.00 to $350.00 and gave the stock an “overweight” rating in a research report on Wednesday, September 3rd. Needham & Company LLC reissued a “buy” rating and issued a $350.00 target price on shares of Zscaler in a report on Wednesday, September 3rd. Stephens restated an “overweight” rating and set a $255.00 target price on shares of Zscaler in a research note on Tuesday, May 27th. Finally, Wall Street Zen upgraded shares of Zscaler from a “hold” rating to a “buy” rating in a research report on Sunday. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Zscaler presently has an average rating of “Moderate Buy” and a consensus target price of $307.00.

Zscaler Trading Up 0.2%

NASDAQ:ZS opened at $282.29 on Monday. The company has a 50 day simple moving average of $284.15 and a two-hundred day simple moving average of $252.24. The company has a market cap of $43.95 billion, a PE ratio of -1,045.52 and a beta of 1.05. Zscaler has a 12 month low of $153.45 and a 12 month high of $318.46.

Hedge Funds Weigh In On Zscaler

A number of hedge funds have recently added to or reduced their stakes in the stock. Parcion Private Wealth LLC grew its stake in Zscaler by 3.3% in the second quarter. Parcion Private Wealth LLC now owns 1,200 shares of the company’s stock valued at $377,000 after purchasing an additional 38 shares in the last quarter. Secure Asset Management LLC lifted its holdings in shares of Zscaler by 1.8% during the 2nd quarter. Secure Asset Management LLC now owns 2,436 shares of the company’s stock valued at $765,000 after buying an additional 43 shares during the last quarter. Tlwm grew its stake in shares of Zscaler by 1.0% in the 2nd quarter. Tlwm now owns 4,649 shares of the company’s stock valued at $1,460,000 after buying an additional 44 shares in the last quarter. Sepio Capital LP increased its holdings in Zscaler by 0.6% in the second quarter. Sepio Capital LP now owns 8,209 shares of the company’s stock worth $2,577,000 after buying an additional 45 shares during the last quarter. Finally, Smartleaf Asset Management LLC raised its position in Zscaler by 7.5% during the second quarter. Smartleaf Asset Management LLC now owns 648 shares of the company’s stock valued at $204,000 after acquiring an additional 45 shares in the last quarter. 46.45% of the stock is currently owned by institutional investors.

Insider Transactions at Zscaler

In other news, insider Robert Schlossman sold 3,174 shares of the company’s stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $305.07, for a total transaction of $968,292.18. Following the sale, the insider directly owned 88,970 shares of the company’s stock, valued at $27,142,077.90. This represents a 3.44% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Adam Geller sold 3,662 shares of Zscaler stock in a transaction on Wednesday, June 18th. The stock was sold at an average price of $306.72, for a total transaction of $1,123,208.64. Following the completion of the transaction, the insider directly owned 46,813 shares of the company’s stock, valued at $14,358,483.36. The trade was a 7.26% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 23,305 shares of company stock valued at $7,093,136. 18.10% of the stock is owned by insiders.

About Zscaler

Zscaler, Inc operates as a cloud security company worldwide. The company offers Zscaler Internet Access solution that provides users, workloads, IoT, and OT devices secure access to externally managed applications, including software-as-a-service (SaaS) applications and internet destinations; and Zscaler Private Access solution, which is designed to provide access to managed applications hosted internally in data centers, and private or public clouds.